Diesel Emissions Reduction Assistance

The U.S. Environmental Protection Agency awards grants under the Diesel Emissions Reduction Act (DERA) to assist States in their efforts to develop diesel emissions reduction programs.   The Vermont Diesel Emissions Reduction Financial Assistance Program was developed to provide technical assistance and incentive funding for projects that reduce diesel emissions from engines, vehicles, and equipment in Vermont with the goals of reducing public exposure to emissions from diesel-powered engines and the associated risks to public health and the environment. The Vermont Department of Environmental Conservation (DEC) periodically solicits applications from potential project partners for projects that achieve significant reductions in diesel emissions from diesel powered engines, vehicles and equipment operating in Vermont.

NEW: Funding Opportunity! DEC is now accepting applications for projects reducing diesel emissions.  View the Request for Proposals and application forms on the Vermont Business Assistance Network websiteApplication deadline is December 6, 2021.  Increased incentive funding is available for electrification projects!

 What vehicles and equipment are eligible?
Diesel-powered engines, vehicles and equipment currently operating in Vermont.  These may include:

  • buses,
  • locomotives,
  • heavy-duty trucks, defined as Class 5 through Class 8: Class 5 (16,001 -19,500 lbs gross vehicle weight rating [GVWR]); Class 6 (19,501 - 26,000 lbs GVWR); Class 7 (26,001 - 33,000 lbs GVWR); Class 8a (33,001 - 60,000 lbs GVWR); Class 8b (60,001 lbs GVWR and over),
  • marine engines,
  • nonroad engines, equipment or vehicles used in construction, handling of cargo, agriculture, mining or energy production (stationary generators and pumps).

What projects are eligible?
Eligible diesel emission reduction projects include:

  • certified vehicle or equipment replacement with all-electric (battery, grid, or fuel cell), alternative fuel, or newer diesel options;
  • certified engine replacements;
  • clean alternative fuel conversions;
  • verified emission control technologies such as exhaust controls, cleaner fuels, and engine upgrades;
  • verified idle reduction technologies such as auxiliary power units, fuel operated heaters, shore connection systems, transport refrigeration unit (TRU) electrified parking spaces, and truck stop electrification technologies; and/or
  • verified aerodynamic technologies and low rolling resistance tires.

Who is eligible to apply?
All interested local, State and regional agencies or departments as well as businesses, institutions and nonprofit organizations operating in the State of Vermont.

What are the qualifications?
There are a number of eligibility and cost share requirements.  Cost share requirements vary depending on the project.  For example, the program can fund up to 45% of the cost of replacing a heavy-duty diesel truck with a new, zero tailpipe exhaust vehicle (grid, battery, or fuel cell), while up to 25% of the cost of the truck’s replacement with a newer, cleaner diesel, hybrid, or alternative fuel vehicle can be funded under this program.  For more information, please review the 2021 DERA State Program Guide.

How do I apply?
DEC is now accepting applications for projects reducing diesel emissions.  View the Request for Proposals and application forms on the Vermont Business Assistance Network websiteApplication deadline is December 6, 2021.  

How do I get more information?
For more information, please review the 2021 DERA State Program Guide.  Please relay all questions about potential projects or grant requirements to Jean Nicolai at (802) 585-4888 or jean.nicolai@vermont.gov.